Corinthia Hotels has secured a £192 million loan to support the expansion of its luxury five-AA-red-star property in London.
The funding, part of a larger £205 million syndicated term loan, marks the biggest financing package Barclays has provided to a hotel sector client in the past 20 years.
The funding comes during a period of transformation at Corinthia London, originally developed in 2009.
Long-standing managing director Thomas Kochs is departing Corinthia London after eight years to become managing director at Claridge’s, where he previously served as general manager from 2009 to 2015. His successor has not yet been named.
Meanwhile, chef Francesco Mazzei is preparing to open a new Italian restaurant at Corinthia London later this year, taking over the space formerly occupied by the Northall restaurant.
Michael Izzo, chief strategy officer at Corinthia London, said: “Accessing finance is crucial to ensuring we can grow as a business, and this support from Barclays will allow us to do just that. We’re excited about our plans for Corinthia London and look forward to working together to deliver these in the years ahead.”
Barclays has supported Corinthia London since 2009 and provided the £192 million loan with backing from its £22 billion Business Property Fund, designed to help both new and existing clients drive business growth across the UK.
Head of Hospitality and Leisure at Barclays UK Corporate Bank, Richard Robinson, said: “Businesses don’t just grow spontaneously. They must have the confidence to invest, expand and innovate – just as Corinthia has done. We’re here to help build this confidence and ensure businesses across the UK can access the finance they need for growth.”
Founded in Malta in 1968 by the Pisani family, Corinthia Hotels has grown into a global luxury brand with properties around the world. The group continues to expand, having opened its first North American hotel, the Surrey, on New York’s Upper East Side at the end of last year.
